Coffee(NASDAQ) JVA

Coffee Holding supplies coffee beans and roasted coffee to supermarkets and cafes. Its products help retailers and coffee shops meet daily consumer demand. The company also offers private label and branded options for different customer needs.

Beans, Brands, and Beyond: What’s on Offer?

• Wholesale Green Coffee (39.7%): Unroasted beans sold to roasters and coffee shops seeking custom blends.
• Packaged Coffee: Roasted and blended coffee, sold under private labels and company brands to supermarkets and retailers, accounted for approximately 60% of net sales for the fiscal year ended October 31, 2024.
• Branded Coffee: Eight proprietary and licensed brands, including Cafe Caribe and S&W, targeting diverse consumer groups.
• Roasting Equipment: Tabletop coffee roasters for small businesses and specialty shops.
• Instant Coffee and Tea: Ready-to-use products for convenience-focused customers and foodservice providers.

Growth Spurt: How Coffee Holding Got Here

• Acquired Comfort Foods in 2017, expanding into specialty and flavored coffees.
• Bought Sonofresco in 2016, adding coffee roasting equipment to its portfolio.
• Purchased Empire Coffee Company assets in November 2024, forming Second Empire, LLC.
• Secured exclusive U.S. licenses for S&W and IL CLASSICO brands, broadening branded offerings.
• Expanded product lines and facilities, including a new lease for Empire Coffee’s Port Chester, NY site in 2024.

What Makes Coffee Holding Stand Out?

The company serves both large retailers and small specialty shops, offering flexibility in product types and volumes. Its mix of branded, private label, and green coffee beans covers a wide range of customer needs. Coffee Holding’s focus on specialty and niche markets, such as organic and Fair Trade, helps it compete with larger brands.

Five Things You Need to Know

• Net sales were $78.6 million in FY2024, up 15% from FY2023.
• Packaged coffee made up 60.3% of FY2024 revenue; green coffee was 39.7%.
• Gross profit margin rose to 20% in FY2024, from 16% in FY2023.
• Cash flow from operations was $5.4 million in FY2024, up from negative $0.7 million in FY2023.

Bottom Line

Coffee Holding has grown through acquisitions and product diversification, serving both mainstream and specialty coffee markets. Its flexible business model and broad product range help it adapt to changing industry trends.